All Forum Posts by: Jennifer T.

This is inaccurate. The first mortgage holder is not even a party to the subordinate lien foreclosure action and thus the first lien is unaffected.

The internet (and BP) is full of stories from people who overpaid at the foreclosure of a junior (second trust, HOA/COA lien), etc... not realizing they were then taking title subject to the senior.

Yeah.... That's not how it works. You got a few snipet's of fact, but a whole lot of assumption in there, incorrect assumption. 

@Matt Frazier

There are a lot of ins and outs to what you are thinking about trying to do.  First, and foremost, my guess is that it is highly unlikely that the only lien on the house is for $170,000.  (It's always possible I suppose)... but in foreclosures, there are frequently second lenders who may or may not be listed in the auction paperwork.  It really starts off with figuring out who is filing the foreclosure.  For instance, if there were two lenders between the lot, and the house, and the foreclosure is just one of those trying to recoup their costs,  you might not see the other lender listed at all in the foreclosure paperwork.  But if you got the property for the $170,000, a more senior (earlier) mortgage would remain attached to the property.  So if there was a $600,000 house loan still floating around out there, you would own the house for the $170,000 (if it sold for that), but the property would still have a lien by the other lender wanting payment for their $600,000 loan; and if you didn't pay, they would then turn around and foreclose on YOU!  So be careful... there are a lot of intricacies with all of that.  

I have over 50. DM me 

That doesn't make sense. If they are "very professional" then they would disclose their fees up front, in writing.

Here's a whole list of them via Google search: https://www.google.com/search?...

Remember: cheaper doesn't mean you'll make more money.

Start by going to www.narpm.org to search their directory of managers. These are professionals with additional training and a stricter code of ethics. It's no guarantee but it's a good place to start. You can also search Google and read reviews. Regardless of how you find them, try to interview at least three managers.

1. Ask how many units they manage and how much experience they have. If it's a larger organization, feel free to inquire about their staff qualifications.

2. Review their management agreement. Make sure it explicitly explains the process for termination if you are unhappy with their services, but especially if they violate the terms of your agreement.

3. Understand the fees involved and calculate the total cost for an entire year of management so you can compare the different managers. It may sound nice to pay a 6% management fee but the extra fees can add up to be more than the other company that charges 10% with no additional fees. Fees should be clearly stated in writing, easy to understand, and justifiable. Common fees will include a set-up fee, leasing fee for each turnover or a lease renewal fee, marking up maintenance, retaining late fees, and more. If you ask the manager to justify a fee and he starts hemming and hawing, move on or require them to remove the fee. Don't be afraid to negotiate, particularly if you have a lot of rentals.

4. Review their lease agreement and addenda. Think of all the things that could go wrong and see if the lease addresses them: unauthorized pets or tenants, early termination, security deposit, lease violations, late rent, eviction, lawn maintenance, parking, etc.

5. Don't just read the lease! Ask the manager to explain their process for dealing with maintenance, late rent, evictions, turnover, etc. If they are professional, they can explain this quickly and easily. If they are VERY professional, they will have their processes in writing as verification that policies are enforced equally and fairly by their entire staff.

6. Ask to speak with some of their current owners and current/former tenants. You can also check their reviews online at Google, Facebook, or Yelp. Just remember: most negative reviews are written by problematic tenants. The fact that a tenant is complaining online might be an indication the property manager dealt with them properly so be sure to ask the manager for their side of the story.

7. Look at their marketing strategy. Are they doing everything they can to expose properties to the widest possible market? Are their listings detailed with good quality photos? Can they prove how long it takes to rent a vacant property?

This isn't inclusive but should give you a good start. If you have specific questions about property management, I'll be happy to help!